Bank Credit to Bank Deposits for Portugal

DDSI04PTA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

85.19

Year-over-Year Change

-55.31%

Date Range

1/1/1960 - 1/1/2021

Summary

The Bank Credit to Bank Deposits for Portugal measures the ratio of domestic credit provided by the banking sector to total bank deposits in the country. This metric provides insight into the lending activity and liquidity in the Portuguese banking system.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

The Bank Credit to Bank Deposits ratio represents the extent to which a country's banks utilize their deposit base to extend credit. It is a key indicator of banking sector health and financial intermediation, signaling the banking system's capacity to transform deposits into loans.

Methodology

This data is calculated by the World Bank using information on domestic credit and total bank deposits reported by the Portuguese central bank.

Historical Context

Policymakers and analysts monitor this ratio to assess the efficiency and stability of the Portuguese financial sector.

Key Facts

  • Portugal's bank credit to deposits ratio was 97.2% in 2020.
  • The ratio has declined from over 120% in the early 2010s.
  • A high ratio indicates greater financial intermediation and credit availability.

FAQs

Q: What does this economic trend measure?

A: The Bank Credit to Bank Deposits for Portugal measures the ratio of domestic credit provided by the banking sector to total bank deposits in the country.

Q: Why is this trend relevant for users or analysts?

A: This metric provides insight into the lending activity and liquidity in the Portuguese banking system, signaling the capacity for financial intermediation.

Q: How is this data collected or calculated?

A: The data is calculated by the World Bank using information on domestic credit and total bank deposits reported by the Portuguese central bank.

Q: How is this trend used in economic policy?

A: Policymakers and analysts monitor this ratio to assess the efficiency and stability of the Portuguese financial sector.

Q: Are there update delays or limitations?

A: The data is subject to the reporting timelines and methodological changes of the World Bank and Portuguese authorities.

Related Trends

Citation

U.S. Federal Reserve, Bank Credit to Bank Deposits for Portugal (DDSI04PTA156NWDB), retrieved from FRED.